r00lish67
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Post by r00lish67 on Sept 11, 2019 7:44:26 GMT
I agree. Further, IMV all platforms of this ilk are likely seeing broadly similar (poor) returns at present despite the contrasting lending mix. Investors are already seeing this at first hand with platforms that pass losses directly to them. Some platforms instead absorb all of these losses to protect the headline rate. Result? happy investors for now, but how long are they going to be willing to do that for? Who's absorbing the losses, and where could one find this evidenced? I'm consistently getting under Zopa's publicised rates, but not as low as 3% - as yet, but I haven't tried to close my account there. How are LW's rates that much higher than RS's? Why does this indicate RS failing - might 3% be a realistic value in context if the market is due to be unstable or if the RS pf needs greater bolstering? That's aside from fund ourselves advertising balance sheet lending and borrowing from their P2P operation, in order to keep the P2P side running smoothly. What I mean is that platforms such as Ratesetter/LendingWorks have, to date, paid every penny of the headline interest rate that investors have signed up to, absorbing whatever losses come their way (via their respective provision funds). However, if you compare loanbook default rates with for example FC (as far as is possible with FC's shoddy stats) then they're not a million miles apart. I'm not sure where you're picking up the rest of the points from and why you're picking 3%? Anyway, LW's rates are only a little higher than RS generally, but the risk is greater in my opinion.
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Post by Deleted on Sept 11, 2019 8:01:29 GMT
Anyway, LW's rates are only a little higher than RS generally, but the risk is greater in my opinion. Can I ask why you think that - just because of size or other factors? I have some money in RS, and LW is on my shortlist for another P2P investment rather than putting more into RS.
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r00lish67
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Post by r00lish67 on Sept 11, 2019 8:19:13 GMT
Anyway, LW's rates are only a little higher than RS generally, but the risk is greater in my opinion. Can I ask why you think that - just because of size or other factors? I have some money in RS, and LW is on my shortlist for another P2P investment rather than putting more into RS. I've written about it at length in the LW section, but in brief because their bad debt rate is now very high (2015-18 are all over target, sometimes substantially so), their provision fund cash is down by nearly 50% from just 6 months ago, and I have trouble buying into their current forecast for a lower bad debt rate for their 2019 loans despite the average borrower APR being significantly higher than previous years. Which is a shame, as otherwise they're the most engaged and transparent operation going IMV. edit: the numbers above are taken/interpreted from LW's stats page
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zlb
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Post by zlb on Sept 11, 2019 12:12:47 GMT
Can I ask why you think that - just because of size or other factors? I have some money in RS, and LW is on my shortlist for another P2P investment rather than putting more into RS. I've written about it at length in the LW section, but in brief because their bad debt rate is now very high (2015-18 are all over target, sometimes substantially so), their provision fund cash is down by nearly 50% from just 6 months ago, and I have trouble buying into their current forecast for a lower bad debt rate for their 2019 loans despite the average borrower APR being significantly higher than previous years. Which is a shame, as otherwise they're the most engaged and transparent operation going IMV. edit: the numbers above are taken/interpreted from LW's stats pageThis came through today. is relevant. www.p2pfinancenews.co.uk/2019/09/04/lending-works-10m-turnover/re above, I got the 3% from the news, and some comments elsewhere on RS forum - www.p2pfinancenews.co.uk/2019/09/03/ratesetter-revamps-investment-products/quote from news "The three new products, which will be available on 3 October, will be called Access, Plus and Max. Access will offer 3% and no fees"
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mary
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Post by mary on Oct 8, 2019 15:01:06 GMT
The 1 Year just matched up to 5.2%, I’ve lost access to the 5 Year so don’t know about that.
But there’s still a joint MR queue of £6m for the new accounts - I just don’t get how their algorithms allocating demand between the queues work?
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coogaruk
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Post by coogaruk on Oct 8, 2019 15:07:53 GMT
The 1 Year just matched up to 5.2%, I’ve lost access to the 5 Year so don’t know about that. But there’s still a joint MR queue of £6m for the new accounts - I just don’t get how their algorithms allocating demand between the queues work? Yes, in the last 24 hours I've matched from 4.4-5.2% in the 1 year. With ease. (wish I hadn't adjusted those rates down quite so low now!)
Why then would I decide to accept 4% in Plus? The markets appear to be broken. Is RS being run by a bunch of boy scouts these days? (no offence meant to boy scouts!)
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robski
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Post by robski on Oct 8, 2019 15:17:32 GMT
The 1 Year just matched up to 5.2%, I’ve lost access to the 5 Year so don’t know about that. But there’s still a joint MR queue of £6m for the new accounts - I just don’t get how their algorithms allocating demand between the queues work? Yes, in the last 24 hours I've matched from 4.4-5.2% in the 1 year. With ease. (wish I hadn't adjusted those rates down quite so low now!)
Why then would I decide to accept 4% in Plus? The markets appear to be broken. Is RS being run by a bunch of boy scouts these days? (no offence meant to boy scouts!)
Boy scouts? Far too competent It would appear to be in the hands of government ministers, failing grayling would be a prime candidate imho
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upperdeane
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Post by upperdeane on Oct 8, 2019 19:24:44 GMT
The 1 Year just matched up to 5.2%, I’ve lost access to the 5 Year so don’t know about that. But there’s still a joint MR queue of £6m for the new accounts - I just don’t get how their algorithms allocating demand between the queues work? Yes, in the last 24 hours I've matched from 4.4-5.2% in the 1 year. With ease. (wish I hadn't adjusted those rates down quite so low now!)
Why then would I decide to accept 4% in Plus? The markets appear to be broken. Is RS being run by a bunch of boy scouts these days? (no offence meant to boy scouts!)
I've got a chunk matched in 1year today at 4.5 percent. I wish in hindsight Id left my rate higher.
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Post by ruralres66 on Oct 8, 2019 19:59:01 GMT
I too have persisted with 1 year and although the 'market rate' data shows 'no borrowers'- I have left funds which have been matched at 4.4% and wish I had left it higher. How are RS processing this? It's a mystery to me but I won't dip into the new £5-4%-5% market regime .......
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Post by propman on Oct 9, 2019 16:25:28 GMT
Presumably for them the "certainty" of filling 1 year money for a 1 year loan is thought better than Plus as most people will allow this to go to term, while if rational, Plus lenders are expecting to draw in 4-11 months.
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coogaruk
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Post by coogaruk on Oct 10, 2019 15:27:40 GMT
I've got a chunk matched in 1year today at 4.5 percent. I wish in hindsight Id left my rate higher. I managed 4.9% today
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Post by stuart543 on Oct 11, 2019 11:34:59 GMT
Got 5.2 this morning on 1 year
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aju
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Post by aju on Oct 11, 2019 11:50:55 GMT
Got 5.2 this morning on 1 year Just curious how many days ago did you request 5.2 though or is it just that the queue is not that large. (I wish they would bring back the queue position view)
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coogaruk
Hello everyone! Anyone remember me?
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Post by coogaruk on Oct 11, 2019 12:03:00 GMT
Got 5.2 this morning on 1 year Just curious how many days ago did you request 5.2 though or is it just that the queue is not that large. (I wish they would bring back the queue position view) I only managed 5.1 (yesterday). Matched same day. Only a tiny amount so not worth shouting about but just to give an idea of the current flavour...
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Post by stuart543 on Oct 11, 2019 12:54:27 GMT
Got 5.2 this morning on 1 year Just curious how many days ago did you request 5.2 though or is it just that the queue is not that large. (I wish they would bring back the queue position view) Can't remember precisely but I think I set it on Monday when the queue in front of me at the time was around £150k.
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